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Old 06-07-2006, 10:11 PM   #1
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Post Dongfeng Motor Corporation (DFM)

Dongfeng-Nissan JV to launch new heavy truck range in China
1st June 2006
Dongfeng Motor Co., Ltd (DFL), the joint venture between Nissan Motor Co., Ltd (Nissan) and Dongfeng Motor Group Co., Ltd, has announced that a all-new heavy-duty truck range, ‘Dongfeng Tianlong’, will be launched in China. This truck series, bearing the Dongfeng brand, is manufactured by Dongfeng Commercial Vehicle Company, a subsidiary company under DFL.
The company has fixed a total vehicle sales target of 620,000 units by 2007, of which CVs will account for 320,000 units and cars for 300,000. DFL CV says it aims to be a top three world truck manufacturer, and for the Nissan brand to become ‘one of the best brands in China’.
(Source: DFL release, 1 June)


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Old 06-09-2006, 09:25 AM   #2
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China' has always been big in making trucks, but its good that DFM is working with Nissan on this even though i didnt know that Nissan had much experience in trucks manufacturing

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Old 06-26-2006, 08:52 PM   #3
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Post Volvo keen to buy Nissan's interest in Dongfeng Motor

VOLVO AB, Europe's second-largest truckmaker, wants to discuss with Chinese authorities if it may buy part of Nissan Motor Co's stake in Dongfeng Motor Co to help it expand in the world's most populous country.

Volvo would be interested in taking control of commercial vehicles units of Dongfeng, China's biggest maker of heavy-duty trucks, while staying out of its carmaking operations, Chief Executive Officer Leif Johansson said yesterday at a presentation for investors in Gothenburg, Sweden, where the company is based.

"As a consequence of Nissan Motor exiting their truck assets, we have an opportunity to discuss with Chinese authorities," Johansson said. "It would be interesting if we could find a structure where we focus on the trucks, but it's very complex."

The company, which also builds buses, construction equipment, airplane parts and marine equipment, wants to boost its share of the faster growing markets in China, Japan and Southeast Asia as sales growth in North America and Europe slows from record levels in 2005.

Johansson declined to predict when talks might begin, and said discussions with Chinese authorities are "always sensitive."

Dongfeng Motor is a venture between Japan's Nissan and China's Dongfeng Motor Group Co. Nissan earlier this year sold a 13 percent stake in truckmaker Nissan Diesel Motor Co to Volvo for 1.5 billion kronor (US$210 million), and Johansson said the company had indicated at the time that a deal on Dongfeng might also be possible.

The Swedish truckmaker sold its car operations to Ford Motor Co in 1999 to focus on the more profitable business of commercial vehicles and it now also owns the Renault RVI and Mack truck brands. Volvo in 2001 sold a 3.3 percent stake in Mitsubishi Motors Corp, which at the time built both trucks and cars, to DaimlerChrysler AG, the world's largest truckmaker.

Johansson also reiterated the company's market forecasts for 2006, given in April.

"We will give the same outlook as we did last time," he told reporters on the sidelines of the conference.

In Europe, Volvo expects industrywide sales of as many as 280,000 trucks. European sales last year, including Renault trucks, which Volvo also sells, totaled 277,000, a record. In North America, where the company also sells Mack brand trucks, as many as 350,000 vehicles will be sold, Johansson said.

Paul Vikner, head of the Mack truck unit, said yesterday it was his "personal feeling" that the truck market this year "is not going to be as bad as some people think."
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Old 06-29-2006, 08:03 AM   #4
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isnt nissan a much bigger company than volvo?
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Old 07-11-2006, 03:44 PM   #5
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It is the truck making division of Volvo we are talking about here, which is a different company to the car makind side of Volvo which is owned by Ford. Volvo Trucks is pretty big, but I don't know how that compares with Nissan.
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Old 07-12-2006, 08:08 PM   #6
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Post Ukraine’s LuAZ and one of China’s largest carmakers sign contract

by Orysia Kulick, Kyiv Post Staff Writer
Jul 13 2006, 02:27

Ukraine’s second largest car producer, the Lutsk Motor Plant (LuAZ), and one of China’s largest carmakers, Dongfeng Motor Corporation, signed a contract June 30 to jointly develop a new freight and cargo truck manufacturing plant in Cherkasy Region.

In a recent press release, LuAZ announced that the new facility will produce freight and cargo trucks with a capacity of 2-10 tons, and is expected to be operational by the end of 2007. The plant will have the capacity to produce 12,000 freight and cargo trucks annually and potentially about 1,000 new jobs as early as next year.

LuAZ is part of the Bohdan Corporation, a group reportedly linked to pro-presidential businessman Petro Poroshenko, which deals with the production, sale and distribution of cars, trucks and buses of various sizes and trademarks.

About $35 million will be invested into the project by the group, according to a spokesman for the company’s Kyiv office, Serhiy Krasulya. China’s Dongfeng Motor Corporation will supply modern equipment and technical support for the facilities, and will also help set up and launch the new plant. Krasulya could not say whether the trucks would be sold under the Dongfeng trademark or another trademark adapted to the Ukrainian market.

Oleg Omelnytskyj, director of, said that this step “will strengthen the position of Chinese freight and cargo trucks on the Ukrainian market and also make them more affordable to local consumers,” adding that in addition to the new LuAZ facility, two others currently produce trucks of this size – Foton, also in Cherkasy Region, and the Kremenchuk Car Assembly Plant in Poltava Region, which reached an agreement with another leading Chinese car manufacturer, First Automobile Group, Corporation (FAW), to begin commercial assembly of FAW trucks in the fall of 2005.

LuAZ’s new freight and cargo truck plant will adhere to the most stringent European environmental regulations, according to the company press release. The company said it will invest more than $3 million just on equipment that ensures these environmental standards at the new plant.

Elena Fedorey, spokesperson for AIS Corporation, an official dealer for FAW, said that LuAZ’s new facility in Cherkasy “is first and foremost another sign that the range of automobiles being assembled on the Ukrainian market continues to diversify,” adding that FAW is China’s leading manufacturer of freight and cargo trucks and that they haven’t observed significant competition from Dongfeng automobiles because they are in a different price bracket.

Fedorey noted that although the demand for cargo trucks continues to increase in Ukraine, the projected production capacity of the new plant seems ambitious. “In all of 2005, for example, only about 1,800 Chinese freight and cargo trucks were brought to the market.”

LuAZ recently inked a contract with Dongfeng Motor Corporation as part of general expansion efforts by the company, which in addition to developing the freight and cargo truck plant, is also in the process of moving its car manufacturing facilities from Lutsk to another plant located in Cherkasy Region.

This new car manufacturing facility in Cherkasy is currently under construction and is expected to open in 2008. The plant will include a new paint shop and testing facilities for completed cars, and is projected to assemble around 60,000 Ladas and 60,000 Hyundai and Kia cars annually.

According to Krasulya, the company acquired an existing facility from the car manufacturer Roto two years ago to consolidate their manufacturing facilities in central Ukraine and expand their production of automobiles in Ukraine.

“The car market is growing dynamically and it was not possible to expand our facilities in Lutsk because of certain limitations,” Krasulya said, adding that by concentrating their manufacturing facilities in Cherkasy, the company will also be able to economize on logistical costs.

Autoconsulting’s Omelnytskyj concurred that “the Bohdan Corporation’s current strategy is geared toward concentrating their main operating facilities in Central Ukraine … a justifiable location given that it makes little logistical sense to transport cars and trucks from its facilities in western Ukraine to buyers in eastern regions.”

Moreover, according to Omelnytskyj, western Ukraine also has a considerable bus manufacturing tradition, which should make the Lutsk plant’s transition from auto and bus to exclusively bus manufacturing a natural one.
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Old 07-13-2006, 10:21 AM   #7
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great contracts are always a good sign of entering foreign markets

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Old 09-25-2006, 02:35 PM   #8
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Default Nissan Diesel to continue relationship with China's Dongfeng

Last Update: 5:20 AM ET Sep 25, 2006

TOKYO (MarketWatch) -- Nissan Diesel Motor Co.'s (7210.TO) top executive Monday said the company would continue its relationship with its Chinese partner Dongfeng Motor Group Co.
Nissan Diesel President and Chief Executive Iwao Nakamura was speaking after Sweden's Volvo AB (VOLV) said it would buy Nissan Motor Co.'s (7201.TO) remaining stake of about 6% of outstanding shares in the Japanese truck maker.
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Old 11-15-2006, 03:12 PM   #9
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Default Dongfeng Tianlong broke new record - 600 trucks/month

November 07, 2006

After broke the monthly output record of 500 in October, Dongfeng Tianlong commercial vehicle assembly plant has a monthly output of 600, creating a new high.

As the main produce position, the assembly plant put their attention on upgrading new products’ quality and performance from May 18 of this year. And they have got a good active course. By the end of October, they have solved 51 puzzling problems including 27 constructions and installation problems, 6 technique and procedure problems, 5 product problems and 13 design problems.

Now, Dongfeng Commercial Vehicle Company is compartmentalizing the market according to the market requirements, and creating new products to acclimatize themselves to different requirements from different customers.
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Old 01-22-2007, 12:22 AM   #10
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Post China's Dongfeng in Talks With Volvo

Last updated: Sunday, January 21, 2007 11:39 PM EST

HONG KONG - Chinese automaker Dongfeng Motor Group Co. said Monday it is considering selling a stake in a commercial vehicle unit to Swedish truck maker AB Volvo.

The unit is part of Dongfeng's joint venture with Japan's Nissan Motor Co. The three parties were discussing whether Volvo would replace the Japanese company as Dongfeng's partner in the medium and heavy-duty commercial vehicles arm, the Chinese automaker said in a statement.

Nissan would then focus on just the passenger car and light commercial vehicle unit, said Dongfeng, which is listed in Hong Kong.

Dongfeng said the companies have not entered any binding agreements that will require the approval by the relevant authorities of Beijing.

Dongfeng Motor, set up in June 2003, is owned equally by Nissan and Dongfeng. Under the joint venture, passenger cars are produced under the Nissan brand, while trucks under the Dongfeng name.

Volvo, the world's second-biggest truck maker by sales, has said it was interested in taking over Nissan's stake in Dongfeng's truck unit. Volvo Chairman Finn Johnsson said in September that any decision on a deal involving Dongfeng may take 18 months from that time.

Volvo's planned expansion in China is part of the Gothenburg-based company's plans to expand its market share in Asia. In April last year, it bought a 13 percent stake in Nissan Diesel Motor Co., Nissan's truck-making unit, with the option to increase the stake to 19 percent.

Volvo draws most of its truck sales from Europe and North America, and has a market share of just 0.7 percent in Asia, according to the company.

A service of the Associated Press(AP)
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